How to Get People to Understand the Value of the Long Term

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In the investment management industry, all of the incentives are skewed wrongfully there. In terms of short term, if you only have a four year term, you're going to make a lot of errors. The moment that other people see that the money is on the line, they will probably put it on the long-term horizon and be profitable for us.

Why is hard work a form of laziness? Why should we be wary of short-term success? How can imagining parallel worlds help us make better decisions? Author, management advisor, and researcher Luca Dellanna joins us to discuss these questions and more!

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Show Notes:

Ergodicity: survival is king
Why sample size matters
The two types of competitors
Teaching by signaling
The parallel worlds approach to decision-making
Racing to the bottom
Why working hard can be a form of laziness
The three things managers should prioritize
Why desiring change isn’t enough
Fighting avoidance with actionable small steps
“Mixed values produce mixed results”
Thinking by writing
What Luca has learned from living in multiple countries
Luca as Emperor of the World
MORE!

Books Mentioned:

Antifragile: Things that Gain from Disorder; by Nassim Nicholas Taleb
What Works on Wall Street; by Jim O'Shaughnessy
Ergodicity: Definition, Examples, And Implications, As Simple As Possible; by Luca Dellanna
The Control Heuristic: The Nature of Human Behavior; by Luca Dellanna
100 Truths You Will Learn Too Late; by Luca Dellanna
Tao Te Ching; by Lao Tzu